Home Trade
Trade
Talk of co-ordinated agricultural trade pressure on China by the US, Brazil and Australia as the PRC stockpiles major commodities is bad news for American farmers and investors.
China’s devastating wine tariffs, changing consumer preferences and an oversupply of grapes is forcing recapitalization and compensation plans.
An end to Chinese import duties on Australian wine could mean the revival of a billion-dollar export market but winemakers are also mindful of the need to diversify.
Agreement between the two countries raises hope that 80.5% tariffs on Australian barley exports to China could be lifted within the next four months.
From tight soybean supplies in 2021-22 to the impact of the Suez Canal blockage, lead analyst Libin Zhou outlines the key market trends.
The imposition of tariffs will effectively eliminate imports of wine for most Australian producers, market observers say, with exports worth A$1.1bn in 2020.
The Lucky Bay shallow-water port, operational since mid-2020, could list in late 2023 following a capital raise to fund expansion and repay construction debt.
The UK and the EU are now trading under the terms of the Brexit trade deal agreed in late December. The lack of widespread friction to date is an encouraging early sign.
Sydney Business School’s professor Hans Hendrischke dissects the rationale behind China’s punitive trade measures against Australia and the likely scenarios that could play out.
China has threatened major tariffs on barley while restricting imports of beef in what it calls an ordinary trade dispute but the Australian government suggests is ‘economic coercion’.